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mimecast Mimecast Announces Second Quarter 2022 Financial Results November 2 , 2021 LEXINGTON , Mass . , Nov. 02 , 2021 ( GLOBE NEWSWIRE ) Mimecast Limited ( NASDAQ : MIME ) , a leading email security and cyber resilience company , today announced financial results for the second fiscal quarter ended September 30 , 2021 . Second Quarter 2022 Highlights -- • Achieved total revenue of $ 147.2 million , up 20 % year - over - year on a GAAP basis and up 16 % in constant currency . • Increased average order value ( AOV ) per customer to $ 15,000 , up approximately 15 % year - over - year in constant currency , the first double digit growth in five quarters . • Drove average services per customer to 3.8 from 3.4 in the same quarter last year . • Achieved a net revenue retention rate of 106 % driven by upsell of 114 % , and downsell and churn of 8 % . • Generated GAAP operating cash flow of $ 43.1 million and $ 31.2 million in free cash flow , representing a $ 5.7 million beat above the high end of free cash flow guidance . • Continued growth in the enterprise segment , with now approximately 20 % of recurring revenue from 5,000+ seat customers . • Generated GAAP gross profit percentage of 77.3 % and Non - GAAP gross profit percentage of 79.0 % . • Delivered GAAP EPS of $ 0.26 per diluted share and Non - GAAP EPS of $ 0.40 per diluted share . Peter Bauer , chief executive officer of Mimecast , said , " Our results exceeded the high end of our guidance ranges across all metrics and reflect our success executing our three - pronged growth strategy . We drove sequential improvement in net revenue retention and average order value per customer due to our success delighting customers and their desire to deploy additional services . " Second Quarter 2022 Financial and Operating Highlights • Revenue : Revenue for the second quarter of 2022 was $ 147.2 million , an increase of 16 % on a constant currency basis compared to the second quarter of 2021 . • Customers : We now serve 39,600 organizations globally . • Net Revenue Retention Rate : Net revenue retention rate was 106 % in the second quarter of 2022 . • Gross Profit Percentage : Gross profit percentage was 77.3 % in the second quarter of 2022 , compared to 75.8 % in the second quarter of 2021 . • Non - GAAP Gross Profit Percentage : Non - GAAP gross profit percentage was 79.0 % in the second quarter of 2022 , compared to 77.5 % in the second quarter of 2021 . • Net Income : Net income was $ 17.6 million , or $ 0.26 per diluted share , based on 68.8 million diluted shares outstanding in the second quarter of 2022 , compared to net income of $ 10.1 million , or $ 0.15 per diluted share , based on 65.6 million diluted shares outstanding in the second quarter of 2021 . • Non - GAAP Net Income : Non - GAAP net income was $ 27.7 million , or $ 0.40 per diluted share , based on 68.8 million diluted shares outstanding in the second quarter of 2022 , compared to non - GAAP net income of $ 19.2 million ( as recast ) or $ 0.29 ( as recast ) per diluted share , based on 65.6 million diluted shares outstanding in the second quarter of 2021. See " Non - GAAP Financial Measures " for a description of a change in calculation method for the income tax effect of Non - GAAP adjustments commencing April 1 , 2021 . • Adjusted EBITDA : Adjusted EBITDA was $ 46.8 million in the second quarter of 2022 , representing a $ 6 million beat above the high range of guidance . ● Operating Cash Flow : GAAP operating cash flow was $ 43.1 million in the second quarter of 2022 , compared to $ 31.0 million in the second quarter of 2021 . • Free Cash Flow and Cash : Free cash flow was $ 31.2 million in the second quarter of 2022 , which was a $ 5.7 million beat over the high range of guidance . Cash and cash equivalents as of September 30 , 2021 were $ 367 million . Financial Outlook Mimecast is providing guidance for the third quarter and fiscal year 2022. Our guidance is based on exchange rates as of October 25 , 2021 . Third Quarter 2022 Guidance : • For the third quarter of 2022 , revenue is expected to be in the range of $ 149.2 million to $ 150.7 million and constant currency revenue growth is expected to be in the range of 13 % to 14 % . • Foreign exchange rate fluctuations are positively impacting this guidance by an estimated $ 2.7 million compared to the rates in effect in the prior year .